Systems and Methods for Monitoring and Optimizing Credit Scores

ABSTRACT

The present disclosure provides systems and methods that monitor, on a recurring basis, a consumer&#39;s behavior as reflected on both the consumer&#39;s credit report and other sources, identifies opportunities for optimizing the consumer&#39;s credit score, warns proactively of actions that can damage a consumer&#39;s credit score, and identifies the right time for consumers to take certain actions, including, but not limited to, actions like applying for a new credit card or closing an existing credit card. The present disclosure also provides systems and methods that implement or can assist in the implementation of the recommended actions on behalf of the consumer.

This application is a continuation of U.S. patent application Ser. No.12/882,144, filed Sep. 14, 2010, now U.S. Pat. No. 8,515,842, thecontent of which is hereby incorporated by reference herein in itsentirety into this disclosure.

BACKGROUND OF THE INVENTION

1. Field of the Invention

The present invention relates to a monitoring and optimization service.More particularly, the present invention relates to systems and methodsfor automated monitoring of consumer behaviors, data, and other factorsthat contribute to a credit score and controlling those factors tooptimize credit scores.

2. Background of the Invention

Credit scores are not only an important aspect of modern life, but alsoone of the most important sources for financial wealth and loss, and itsresulting impact on the quality of life. Practically every majorfinanced purchase in modern society involves the determination of thepurchaser's credit score before financing is approved. For example, thedifference between a “good” credit score and an “average” credit scorecan be associated with literally thousands of dollars in excess interestexpenses, fees, and even insurance premiums.

Despite its criticality in determining the creditworthiness of aconsumer, the calculation of credit scores is a virtual black box foreven sophisticated consumers due to the countless variables that areincluded in conventional credit score algorithms, the constant updatingof these variables, and even changes to the algorithms themselves. Theseconstraints leave consumers confused as to the answers to questionslike, when is it the right time to close a credit card that is no longerneeded, or should a certain behavior be changed in order to get a creditscore increase?

Conventional systems lack the capability to analyze consumer behaviorson an ongoing and real-time basis and incorporate them into theirrecommendations for optimizing credit scores. In addition, existingsystems lack the capability to update their data on a recurring basisand without user interaction, and to provide recommendations when theadvantages for certain actions arise. In essence, existing systems onlypartially cater to consumers who are looking to simulate certainhypothetical scenarios at a certain point in time in the future giventhe modification of certain data which contribute to credit scores, andoffer absolutely no value after the user stops actively interacting withthe system.

Conventional systems also lack the ability to detect, on a real-timebasis, consumer behaviors that need to be proactively communicated tothem given the adverse effects that these behaviors can have onconsumers' credit scores if they are not changed. For example, aconsumer might have applied for a couple of credit cards in a shortamount of time. Conventional systems do not have the ability toproactively identify this behavior and determine the effects of whatwill happen to the consumer's credit score if in the next 60 days heapplies for one or more credit cards or loans, or the capability toalert the consumer that his credit score will suffer a significantdecrease and therefore advise the consumer not to proceed with any suchactions.

Thus, there is a need in the art for systems and methods, primarily usedfor monitoring and optimizing credit scores, which are easy to use,efficient, and capable of automatically and without user interactionprovide feedback to the consumer as to which actions, which may beoccurring in real time or could occur in the future, are beneficial ordetrimental to the consumer's credit score.

SUMMARY OF THE INVENTION

The present invention provides for systems and methods that monitor, ona recurring basis, a consumer's behavior as reflected on both theconsumer's credit report and other sources, identifies opportunities foroptimizing the consumer's credit score, warns proactively of actionsthat can damage a consumer's credit score, and identifies the right timefor consumers to take certain actions, including, but not limited to,actions like applying for a new credit card or closing an existingcredit card. The present invention provides also for systems and methodsthat implement or can assist in the implementation of the recommendedactions on behalf of the consumer.

Existing systems for assisting consumers in optimizing their creditscores suffer from a number of drawbacks. Existing systems onlypartially cater to consumers who are looking to simulate certainscenarios at a specific point or snapshot in time. In other words, theydo not meet the consumer's ongoing and changing needs for receivingproactive warnings, understanding when it is the right time to takecertain actions, understanding what behaviors need to be changed inorder for consumers to better optimize their credit score, and assistingconsumers in implementing the actions that are recommended by thepresent invention.

The present invention addresses these problems and others common in themarketplace by providing consumers with a unique and powerful tool that,on a recurring basis and without the need for consumer interaction,prompt or command, gets updated with the most recent data from theconsumer's credit reports and other sources, analyzes consumerbehaviors, issues recommendations about what consumers can, should, andshould not do, and optionally implements certain recommendations onbehalf of consumers.

In another example of the use of the present invention, a consumer mightuse an existing system to determine the impact of closing a particularcredit card account on his credit report. At that time, the impact mightbe adverse to the consumer's credit score. However, by utilizing thesystem described by the present invention, the consumer will be notifiedwhen closing that same credit card account will have a neutral or evenpositive impact on his credit score.

Another non-limiting example that illustrates the limitations ofexisting systems, and how the present invention improves upon theselimitations, is the scenario in which a consumer might have multiplecredit cards but for whatever reason has decided to use one of them formost of his daily purchases. Even though he pays his credit card in fullevery month, when the credit card company reports his balance to thecredit bureau each month, his report shows up as being almost“maxed-out” on that particular credit card. The present invention willidentify that this behavior hurts his credit score and recommend thatthis consumer either uses a different credit card with a credit linethat is at least 25% higher than the current one, or that the consumercharges his daily purchases on more than just a single card.

In one exemplary embodiment, the present invention is a system formonitoring and optimizing credit scores on a recurring basis and withoutuser interaction. The system includes a plurality of components. A datawarehouse component stores client information. A client data collectioncomponent collects client information and stores the information in thedata warehouse component. A scenario generator component createshypothetical scenarios based on client information. Credit scorealgorithm components receive client information stored in the datawarehouse component and hypothetical scenarios generated from thescenario generator and calculate score results for each scenario. Aresults evaluator component compares a plurality of score resultsreceived by the credit score algorithm components and transmits a subsetof the plurality of score results to either the client and/or an actionevaluator component. The action evaluator component determines whetheran action on behalf of the client should be taken based on both theclient's needs and the score results received by the results evaluatorcomponent and, if such action is desired or beneficial, facilitates suchactions.

In another exemplary embodiment, the present invention is a method forregularly monitoring and optimizing credit scores. Client information iscollected and stored in a data warehouse. Client information stored inthe warehouse is communicated to scenario generator component.Hypothetical scenarios are generated by the scenario generatorcomponent. Hypothetical scenarios are submitted to credit scorealgorithm components. Score results are received from results evaluatorcomponent. Score results are compared and a subset is transmitted to theclient. A subset of score results may also get evaluated by actionevaluator component. Certain recommendations may automatically getimplemented by the action evaluator component on behalf of the client.These steps may be performed on an automated and recurring basis,without user interaction, prompt or command.

BRIEF DESCRIPTION OF THE DRAWINGS

FIG. 1 shows an overview of an environment in which various exemplaryembodiments of the present invention may operate.

FIG. 2 shows an overview of a system according to an exemplaryembodiment of the present invention.

FIG. 3 shows a method of operating various exemplary embodiments of thepresent invention.

FIG. 4 is a continuation of the method shown in FIG. 3.

FIG. 5 is a continuation of the method shown in FIG. 3 and FIG. 4.

FIG. 6 shows examples of client data collection which may be collectedaccording to various exemplary embodiments of the present invention.

DETAILED DESCRIPTION OF THE INVENTION

The present invention provides methods and systems to monitor, on arecurring basis, a consumer's behavior, as reflected on both theconsumer's credit report and other sources, identify opportunities foroptimizing the consumer's credit score, warn proactively of actions thatcan damage a consumer's credit score, identify the right time forconsumers to take certain actions, and assist consumers in implementingcertain recommended actions in order to optimize the consumer's creditscore.

The present invention may be deployed in any environment and may usedata of any type. Clients could access the system through a web page viathe Internet or through a mobile application. A financial institutioncould also provide the present invention as an additional service toclients; the financial institution can market the system as a way oflooking out for the client's interests by helping the client avoidpitfalls and improve the client's credit standing. These environmentsare exemplary and non-limiting; the system could be operated in anyenvironment.

The present invention may use any type of consumer behavior. Consumerbehavior could include, for example, how a consumer allocates hispayments, how many loans, lines of credit, and credit cards the consumerhas opened, recent activity related to applying, opening, or closingloans and credit cards, data from any or all of the credit bureaus, anddata about the terms and balances on the client's financial products.

FIG. 1 shows an exemplary environment in which the present invention mayoperate. Client 100, who may be an individual, corporation, or otherentity, communicates with credit score system 130. As used herein andthroughout this disclosure, the term “client” is also intended to beused interchangeably with the term “consumer” or “user.” The term “data”is also intended to be used interchangeably with the term “information.”The credit score system 130 collects data about the client 100 from boththe client 100 and a number of third party data sources 111 (such as,for example, credit bureaus and public records) so that the credit scoresystem 130 can use the collected information to create hypotheticalscenarios and optimize the clients' credit scores. Once the credit scoresystem 130 has collected sufficient information about the client 100,the credit score system 130 communicates the client information and thehypothetical scenarios to credit score algorithm components 104. Thecredit score system may communicate client information to any number ofcredit score algorithm components. The credit score algorithm componentsmay be in a variety of locations such as, for example, within the sameserver as the credit score system 130, in a server which communicatesdirectly with the credit score system 130 server, and/or a third partyserver.

The credit score system 130 can collect any type of client informationabout the client 100. The client information may be any informationhelpful to the credit score algorithm components 104 in evaluating theclient 100 and may also be any information helpful to the credit scoresystem 130 in creating hypothetical scenarios. For example, clientinformation can include personal information such as the client 100'sname, address, and social security number. The credit score system 130may also collect information about any existing products the client 100is using, such as existing loans, credit cards, checking/savingsaccounts, or investment accounts. The client 100 may also supplyinformation about the client's own needs or goals, such as “increase mycredit score” or “identify the right time to close my Citibank creditcard (e.g., which has a burdensome $75 annual fee) so that my creditscore will not decrease by more than 10 points”. Clients may supply thecredit score system 130 with custom scenarios, such as “close my CapitalOne credit card”, or “open a new credit card with a $2,000 creditlimit”. The credit score system 130 may derive client needs from clientinformation already collected and may also identify and track patternsof consumer behaviors that can affect the clients' credit scores.

The credit score algorithm components 104 use the client information andthe hypothetical scenarios provided by the credit score system 130 todetermine the impact on the client's credit score for each of thedifferent automated or manually generated hypothetical scenarios or, inother words, to determine the credit score results. Once the creditscore algorithm components 104 determine the credit score results, thecredit score algorithm components 104 transmit the credit score resultsto the credit score system 130. The credit score system 130 evaluatesand compares the credit score results it has received from the creditscore algorithm components 104. This evaluation is a comprehensivecomparison taking into account a variety of factors. Among manynon-limiting and user-definable factors, the comparison considers howeach scenario meets the client's needs, what the impact is (in terms ofnumber of points) on the client's credit score, and how easy executingeach scenario will be, given its complexity and the client's financialsituation. If the credit score system 130 determines that one or more ofthe credit score results meet the client's needs and/or provide theclient 100 with an opportunity to better optimize the consumer's creditscore, either by improving it or by preventing damage to it, creditscore system 130 recommends specific actions to the client 100,depending on how the client wishes to be contacted. The client 100 maythen evaluate the information himself. The credit score system is alsoavailable to assist the client 100 in executing the recommended actionby communicating to financial institutions component 120 on behalf ofthe client, should the client 100 request it. Optionally, the client 100may pre-authorize the credit score system 130 to automatically performall or a limited number of allowable functions to improve the creditscore of the client 100 without first contacting the client 100. Suchscenario would be helpful if, for example, the client 100 is embarkingon a long trip where there would be minimal or no communicationsavailable for the system 130 to contact client 100 for a longer periodof time. Other scenarios are also possible, such as if the client 100believes that any recommendation made by the system 130 would be idealand does not want to be contacted by the system 130 at all before suchrecommended steps are taken.

Virtually every aspect of the process described above occurs on arecurring basis and in substantially real time, with minimal to no userintervention required. The credit score system 130 updates clientinformation on a recurring basis. The credit score system 130 transmitsinformation to, and receives credit score results from, the credit scorealgorithm components 104 on a recurring basis. As the credit scoresystem 130 receives credit score results, it performs the comprehensivecomparison and, depending on the client's preferences, transmitsrecommended actions to the client 100. In this way, the client 100 willalways have access to the most up-to-date recommendations on how he/shecan optimize his/her credit scores. The system 130 can operate in realtime, collecting client information, identifying consumer behaviors,creating automated and/or manual hypothetical scenarios, consulting withcredit score algorithm components 104, and comparing credit scoreresults while the client 100 is still interacting with the system. Thesystem 130 can also operate continually over an unrestricted period oftime after the user has stopped interacting with the system (e.g.,hours, days, months, years after the first user interaction has stoppedoccurring), with the system 130 periodically collecting informationabout the client 100, then later consulting credit score algorithmcomponents 104 and comparing credit score results.

FIG. 2 shows a more detailed exemplary embodiment of the presentinvention. Credit score system 230, generally outlined in dashed lines,contains a number of components, each of which is optional and mayoperate with one or more other components also shown in the figure.Further, for sake of simplicity of the example, most of the componentsshown in FIG. 2 have been shown internal to the system 230. However, itshould be noted that some, most or all of the components shown may alsobe provided separately by completely different systems interactingtogether to produce the result shown and described. The scope of thepresent disclosure covers all such scenarios beyond the specific exampleshown and described herein.

The credit score system 230 interacts with client 200 via clientinterface 216. The client interface 216 receives information from andtransmits information to the client 200. The client interface 216 couldbe, for example, a website, a mobile application, voice recognitionsoftware or other device which allows communication or commands betweenthe user 200 and the system 230. The client 200 may have an account onthe website and can log in to the account to enter (or update) clientinformation into the credit score system 230, receive information aboutcredit score results evaluated by the credit score system 230, requestcustom scenarios to be evaluated, and transact any other business withthe credit score system 230. In addition to a website or mobileapplication, the client interface 216 could also have an electronicmessaging capability wherein the client interface 216 can sendelectronic mail, text or other electronic communication to the client200 alerting the client to new financial products.

Client data collection component 206 collects client information, whichmay include existing product terms on clients' financial products 206 a(see FIG. 6. The client data collection component 206 collects clientinformation in a number of ways. An important source of informationabout the client 200 is the client 200 himself. The client 200 may loginto the credit score system 230 via the client interface 216 andprovide information to the client data collection 230. The client datacollection component 206 may also collect client information from othersources such as financial institutions, credit bureaus, public records,and other third parties, as described in more detail below.

The client data collection component 206, as shown in FIG. 2 and FIG. 6,may collect data from sources 211 other than the client in a variety ofdifferent manners. For example, the client data collection component 206could log into (with the client 200's concurrent approval orpre-approval) the client 200's existing account with a financialinstitution or other organization and download client information, orthe client 200 could give a financial institution permission to transmitclient information directly to the client data collection component 206,as shown by box 211 b. Public records 211 c may be accessed directly bythe client data collection component 206. A third party may also enterthe client information on the client 200's behalf, shown by box 211 e.For example, a financial advisor could enter information about theclient 200. The client data collection component may collect informationfrom a data provider, such as a credit report or credit bureau, shown bybox 211 a. The client data collection component 206 may use these or anyother source (box 211 d) or technique for collecting client information.

The client data collection component 206 may collect a number ofdifferent types of information about the client 200 from the variousdata sources 211. FIG. 6 shows some classes of client information.Client information may collect information 206 a about the client'sexisting financial products (if any), such as interest rate, balance,fee structure, credit limit, or monthly payment. The client datacollection component 206 also collects personal information 206 b, suchas the client's name, address, social security number, and telephonenumber. The client data collection component 206 may also collectinformation 206 c about the client's needs and/or goals. These goalswould depend on the client's particular financial situation. Forexample, if the client 200 has a Citibank credit card with a $75 annualfee that he does not want, his need might be to identify the right timeto close this Citibank credit card so that his credit score is notreduced by more than 10 points. If the client 200 is in the market for anew home, the client may be looking for ways to get a 20 pointimprovement on his credit score so that he can qualify for a better rateon the home loan. The client data collection component 206 may alsocollect information 206 d from the client's credit bureau and creditreport, given the importance of this data on most of today's creditscores. The client data collection component may also collect publicrecord information 206 e. Information about the client's assets andliabilities 206 f is also a very useful element of the client datacollection component 206. For example, knowing that a client has $20,000in a savings account and $10,000 in credit card debt, can be veryvaluable information in generating a hypothetical scenario of what wouldhappen if the client used a portion of his savings to pay down hiscredit card debt. The outcome of such a scenario might be a significantcredit score increase, which will enable the client to refinance hismortgage at a much lower rate and save thousands of dollars. The clientdata collection component 206 may also collect information 206 g fromthe client directly in regards to custom scenarios that the client isinterested in.

The client 200 can define any number of custom scenarios. For example, aparticular client might be interested in opening a new credit cardwithout taking a hit on his credit score. In that case, the client 200can submit this custom scenario to the client data collection component206 so that on a recurring basis the client 200 gets notified about thecredit score impact of opening a new credit card and therefore proceedwhenever it is the optimal time based on the credit score results ofthis custom scenario. The client data collection component 206 alsocollects the client's system preferences 206 h. System preferences mayinclude, among others, the client's preferred schedule or criteria fortransmitting the client information to credit score algorithmcomponents; the preferred schedule for communicating credit scoreresults back to the client 200; and criteria for automatically approvinga recommended action. Client information may include other information206 i which may be useful to the credit score system 230. Information206 a, 206 b, 206 c, 206 d, 206 e, 206 f, 206 g, 206 h are examples ofthe information collected by the client data collection component 206.The client data collection component 206 collects all the informationthe credit score system 230 would need to obtain credit score resultsfor the client 200 and identify the best actions for optimizing theclient's credit score.

Returning to FIG. 2, the client data collection component 206 continuesto collect and update client information about the client 200 over thecourse of the client 200's association with the credit score system 230,using the techniques and sources described above. Collecting up-to-dateclient information on a recurring basis gives the credit score system230 an accurate and current (real time) picture of the client 200'ssituation. In turn, the credit score system 230 can generate automated,optimal hypothetical scenarios and in turn retrieve credit score resultsbased on the client's current information, not on outdated information.For example, the client data collection component 206 may obtain acredit report for the client 200 on a recurring basis. All of thesecredit reports would be obtained as part of credit monitoring.“Monitoring inquiries” or “soft inquiries” do not negatively impact theclient's credit score. However, standard “credit inquiries” or “hardinquiries” may negatively impact a client's credit report. The creditscore system thus has frequent access to the client's most recent creditreport while still preserving the client's credit worthiness.

The client data collection component 206 may transmit client informationit has collected to a data validation component 209 prior to storingclient information in data warehouse 202. The data validation component209 validates client information to make sure that the clientinformation is accurate and no information is missing. For example, ifthe validation component 209 discovers that the client's name ismissing, or that the name on the credit reports does not match the namethat the client has provided, or the address is incomplete, or certainrequired financial data is still needed, the validation component maycommunicate with the client data collection component 206, requestingcorrected or completed information. The client data collection component206 may then communicate with the client 200 through the clientinterface component 216 to get the client's help in resolving the dataissues that the data validation component has identified. Through theassistance of the validation component 209, client 200 can always beassured that the system 230 has all the information it needs to proceedor operate when the client 200 is not interacting with the system 230because the system 230 would contact the client 230 if some pertinentdata is not complete or incorrect, thereby preventing proper operation.Thus, the situation where a client 200 believes the system 230 to beworking while the system 230 is actually hung up (because of bad data)would be largely avoided. Validation component 209 is optional; theclient data collection component 206 may store client information in thedata warehouse 202 without going through the data validation component209.

The client data collection component 206 stores client information inthe data warehouse 202. The data warehouse 202 contains informationabout all clients using the credit score system 230. The client datacollection component 206 updates client information stored in the datawarehouse 202 as needed. The client 200 may also log into the creditscore system 230 at a later date and provide updated information to theclient data collection component 206. The data warehouse component 202may store any information useful to the credit score system 230. Thedata warehouse component 202 could, for example, store information aboutcredit score results received from credit score algorithm components204.

Scenario generator component 208 generates hypothetical scenarios basedon the latest client data stored in the data warehouse 202 and transmitsthe hypothetical scenarios and the latest client information, includingthe client's custom scenarios, to the credit score algorithm components204. The scenario generator 208 may use a standard set of rules/optionsbased on the client's preferences to come up with hypothetical scenariosor may identify all of the feasible options based on the client'sfinancial situation. For example, if a client 200 has a credit card thathas a zero balance and has been inactive for 6+ months, then thestandard hypothetical scenarios that will be generated may involve: (a1)closing that credit card, and (b1) keeping it open and requesting acredit limit increase. If that same client 200 also has less than threecredit cards open, then the standard hypothetical scenarios may involve:(a2) opening one additional credit card, and (b2) opening two additionalcredit cards. Once the standard hypothetical scenarios are generated,then the permutations of all the standard hypothetical scenarios createan additional set of hypothetical scenarios. So based on this example,the permutations would create an additional four hypothetical scenarios:(a1)+(a2), (a1)+(b2), (b1)+(a2), (b1)+(b2).

The scenario generator component 208 may also observe patterns in clientbehavior as that is reflected by the client data that is stored in thedata warehouse component 202, in order to create hypothetical scenarios.For example, a client 200 might have multiple credit cards but forwhatever reason has decided to only use one of them for most of hisdaily purchases. Even though the client 200 pays the credit card in fullevery month, as indicated by the information provided directly by theclient 200, when the credit card company reports, on a monthly basis,the client's balance to the credit bureau, it shows up on the client'scredit report as being almost “maxed-out” on that particular creditcard. The scenario generator 208 will identify this behavior andgenerate at least two hypothetical scenarios: (a3) the client uses adifferent credit card with a credit line that is 25%+ higher than thecurrent one, and (b3) the client spreads out his daily purchases on morethan just a single credit card. These or any other rules or algorithmsor logic may be used by the scenario generator 208 to constructhypothetical scenarios that, together with the client's custom scenariosand the client's data, will be submitted to the credit score algorithmcomponents 204 when instructed by data controller 207.

Data controller component 207 determines the frequency of operation forthe scenario generator component 208 and may use the client's ownpreferences to determine the frequency. A predetermined schedule orcertain criteria could be set by the client 200 as part of systempreferences 206 h (shown in FIG. 6) or by the data controller 207. Theseor any other criteria or schedule may be used by the data controller 207to determine when to instruct the scenario generator 208 to operate. Theclient 200 may, for example, specify that the credit score system 230should transmit potential credit score results based on hypotheticallygenerated scenarios on a monthly schedule without any further clientprompt, command or interaction. The data controller 207 will theninstruct the scenario generator component 208 to operate once everymonth. The data controller 207 may also instruct the scenario generatorcomponent 208 to operate when certain criteria are met, such as whencredit score algorithms change, the client's financial situationchanges, the client's creditworthiness changes, or any data stored inthe data warehouse component 202 changes. For example, the datacontroller 207, using information stored in the data warehouse 202, maydetermine that a number of new “hard inquiries” (usually a result ofloan applications) have shown up in a client's credit report. Inresponse, the data controller 207 instructs the scenario generatorcomponent 208 to operate. Using the new information, the scenariogenerator component 208 generates many hypothetical new scenarios. Oneof the hypothetical new scenarios is the scenario in which the customerhas an additional new “hard inquiry” in the next 30 days. Based on thecredit score results of such a hypothetical scenario, the client 200might be proactively warned not to submit another loan application,because it will create another “hard inquiry” and his credit score willbe damaged. In another example, the data controller 207 determines, on areal-time basis, that the client 200 submitted a new custom scenario andinstructs the scenario generator component 208 to operate. The scenariogenerator component 208 transmits the updated client data 206 and thecustom scenario to the credit score algorithm components 204 so that theclient 200 can receive the credit score results for the custom scenario.

Credit score algorithm components 204 a, 204 b, 204 c (collectivelyreferred to as credit score algorithm components 204) determine, basedon client data, what the credit score is for each of the hypotheticaland custom scenarios (collectively referred as the credit score results)received by the scenario generator component 208. Each credit scorealgorithm component 204 a, 204 b, 204 c represents a different type ofcredit score in the marketplace. There are many different types ofcredit scores in the marketplace, including the FICO Score, the VantageScore, and the TransRisk Score. The credit score algorithm components204 may be stored in any location and may use a variety of criteria andproprietary statistical models for evaluating the creditworthiness forthe client 200. For example, the credit score algorithm component 204 cis located at a credit bureau. The credit bureau may want to keep itsevaluation criteria and models confidential and for this reason (or anyother reason) the credit score algorithm component 204 c is located atthe credit bureau. The credit score algorithm component 204 b is locatedin-house, under the control of the same entity operating the creditscore system 230. The entity that has developed the credit scoreassociated with the credit score algorithm component 204 b also usesconfidential criteria and statistical models to evaluate clients, but asa result of a partnership or other arrangement, the particular entity iswilling to allow the credit score algorithm component 204 b to remainin-house. The credit score algorithm component 204 a is also locatedin-house and uses criteria and statistical models that are proprietarybut under the ownership of the same entity operating the credit scoresystem 230. There may be any number of the credit score algorithmcomponents 204. The credit score algorithm components may be locatedanywhere and may use any criteria or statistical models or mathematicalalgorithms in evaluating the credit score results for the differentscenarios submitted by the scenario generator component 208.

The credit score results generated by the credit score algorithmcomponents 204 are transmitted to results evaluator component 212. Thecredit score results may be comprised of specific scores or score rangesfor each type of credit score that is evaluated. For example, a clientwith a Type1 Credit Score of 740 might get for “hypothetical scenario 1”a Type1 Credit Score result of 750 and for “hypothetical scenario 2” aType1 Credit Score result of 745-760.

Clients 200 benefit significantly from the constant optimization oftheir credit scores. Changing factors in the clients' data combined withchanging factors in the financial industry result in a client'seligibility for different financial offers at different points in time.Having an optimized credit score enables clients to capitalize on thebest opportunities available to them at any point in time. Thesechanging factors include a changing market environment (such as risingor falling interest rates), the client's creditworthiness as it isreflected by the client's credit score, the client's financial situation(such as a salary increase or the purchase of a home), new financialproducts, and changes to the underwriting guidelines of existingfinancial products. The constant evaluation by the data controllercomponent 207 on whether to instruct the scenario generator component208 to operate enables the client 200 to receive, at all times, creditscore results and recommendations reflecting the current environment, asopposed to recommendations reflecting a previous environment. The client200 receives customized automated recommendations generated by thesystem 230 without being required to request them himself. The client200 is assured of always having the best recommendations on how to bestoptimize his credit score, without hassle. Stated differently, throughthe use of system 230, client 200 is always assured that the system 230is always, continuously and automatically working to make sure that thecredit score of the client 200 is optimized. This peace of mind is oneof the many advantages of the present system 230.

Results evaluator component 212 receives credit score results for eachof the hypothetical scenarios from the credit score algorithm components204 and comprehensively compares credit score results to determine ifany of them meet the client's goals/needs and, if so, which one is theeasiest for the client to act upon. The results evaluator component 212may not perform any evaluation on client's custom scenarios 206 g, sincethose scenarios are specifically requested by the client 200. The creditscore results for the clients' custom scenarios are either directlycommunicated from the results evaluator 212 to the client 200 via theclient interface component 216 or to the action evaluator component 214based on the clients' system preferences 206 h.

The results evaluator component 212 may start the evaluation byeliminating all the credit score results that do not meet the client'sneeds. For example, if the client's need is to both improve and preventdamage on his credit score, all the credit score results that have anegative impact on the client's credit score will be eliminated fromfurther consideration, with the exception of the credit score resultsthat relate to hypothetical scenarios involving future client actionsthat are deemed likely based on the client's past behavior. Building onthis example, if one of the hypothetical scenarios that has a negativeimpact on the client's credit score involves having the client 200 closeone of his credit cards, then that scenario will be eliminated fromfurther consideration, since for the purpose of this example there is noevidence that the client 200 is likely to proceed with such an action.On the other hand, if the client 200 has been progressively building uphigher credit card balances and one of the hypothetical scenarios with anegative credit score impact involves having the client 200 increase hiscredit card balances by another 10%, then that scenario will not beeliminated from further consideration, given the recent evidence thatsuggests that the client 200 is likely to continue to build up highercredit card balances. In other words, options or scenarios for actionwhich correspond with a client's past pattern of behavior will generallynot be eliminated. Once the results evaluator component 212 has narroweddown all the credit score results/scenarios that are relevant to theclient's needs, the next step would be to rank order them based on thecredit score improvement that they can generate and the damage that theycan prevent. The next step would be to present the ones with the highestpoint impact (in both the positive or negative direction) eitherdirectly to the client 200 through the client interface component 216 orto the action evaluator component 214, based on the clients systempreferences 206 h.

The results evaluator component 212 may also evaluate the credit scoreresults/hypothetical scenarios that it receives from the credit scorealgorithm components 204 by not only eliminating all the credit scoreresults that do not meet the client's needs, or do not comport with aclient's past behavior, but also eliminating the results that requiremore than a certain number of actions in order to be implemented. Thenumber of actions can be any number that the results evaluator componentdeems appropriate or can even be provided by the client's systempreferences 206 h. For example, if the limit on the number of actionswas set to 2 and one of the hypothetical scenarios met the client'sneeds of increasing his credit score by more than 20 points, but itrequired the client to take 3 actions then that scenario will beeliminated from further consideration. On the other hand, a hypotheticalscenario that requires the client to take only 1 action, such as to paydown the balance of a particular credit card by $500, and will alsoresult on a credit score increase of 20 points or more, will not beeliminated.

Alternatively, the results evaluator component 212 may not eliminate thecredit score results that require more than a certain number of actionsin order to be implemented, but may prioritize higher the credit scoreresults that are simplest both in terms of the type of action and thenumber of actions. For example, between two scenarios that both requireone action from the client, the scenario that requires the client toopen a new credit card is simpler than the scenario that requires theclient to divide spending moving forward from one credit card that iscurrently used to two credit cards. As a result, the first scenario onthe aforementioned example will be prioritized higher.

The results evaluator component 212 may use any of the previoustechniques to compare credit score results. The results evaluatorcomponent 212 may also use any other comparison techniques, alone or incombination, to compare credit score results. The results evaluatorcomponent 212 may take into account multiple factors and use complexmathematical models or decision trees when comparing credit scoreresults. For example, in addition to comparing credit score resultsbased on simplicity of actions, the number of actions required toimplement each recommendation, and the credit score impact in terms ofnumber of points, the results evaluator component 212 can also includethings like the client's likelihood of acting on the recommendedscenario and expected savings.

After the results evaluator component 212 compares credit score results,if the component determines that one (or more) of the credit scoreresults meets the client's needs, it will transmit recommended resultseither directly to the client 200 via the client interface component 216or to the action evaluator component 214, based on the clients' systempreferences 206 h.

The action evaluator component 214, subject to the clients' systempreferences 206 h, receives recommended credit score results fromresults evaluator component 212 in order to evaluate their feasibilityand determine whether an action should and can be taken on behalf of theclient 200. The action evaluator 214 uses the clients' systempreferences 206 h to determine whether an action on behalf of the clientshould be taken and, if so, then evaluates whether it has theappropriate capabilities and permissions/authorizations to initiate andcomplete the recommended action on behalf of the client 200 and, if so,whether it first requires a manual approval by the client 200 before itproceeds in implementing the recommended action on behalf of the client200. If the action evaluator 214 determines that an automatic actionshould and can be taken or if it receives a manual approval by theclient 200, then the action evaluator 214 will also proceed withcommunicating with outside/external entities 220 in order to implementthe recommended actions on behalf of the client. Outside entities 220may be, for example, financial institutions 220 a (such as banks andcredit unions), or credit card companies (220 b). The action evaluatorcomponent 214 may use these or any other outside entities 220 c in orderto fully implement the recommended action. For example, a client 200might have indicated on the system preferences 206 h that if arecommended action is going to improve the credit score by more than 10points and it will not require the transfer of funds, then the creditscore system 230 should proceed automatically in implementing therecommended action on behalf of the client 200. As a result, and for thepurpose of this example, if the recommended action is a request for acredit limit increase on two of the client's credit cards, then thecredit score system 230 can contact the credit card companies 220 bdirectly on behalf of the client and request these credit limitincreases, assuming that the client 200 has also provided the creditscore system 230 with all the appropriate authorizations that the systemwill need in order to initiate these increase requests. The actionevaluator component 214 may use these or any other technique or logic,alone or in combination, to evaluate whether an action should and can betaken and, if yes, proceed with actually taking the necessary action bycommunicating with the outside entities 220.

System preferences 206 h may include communication preferences andapproval preferences. Communication preferences specify how the client200 wishes to be contacted, the frequency of communication, and thepriority of communication. The client 200 may specify how he wants toreceive credit score recommendations, such as via e-mail, SMS textmessage, mobile phone application messaging, telephone, or via the mail.The client 200 can specify the frequency of communication. For example,the client 200 could create a monthly schedule of communication.Depending on system preferences, the results evaluator component 212 orthe action evaluator component 214 would then communicate credit scoreresults to the client 200 once a month. Frequency may also be determinedby specified criteria, such as a minimum level of points change over theclient's current credit score. For example, the client 200 could specifythat he only wishes to receive information about credit score resultsthat would impact his credit score by 15 points or more. If the resultsevaluator component 212 finds a recommended action that has a creditscore impact of 15 points or more and the client 200 does not want theaction evaluator component 214 to evaluate any recommendations foraction implementation on client's 200 behalf, then based on thisexample, the results evaluator component 212 will transmit therecommendation to the client 200. The client could also specify aparticular priority. The client could specify that high-priorityinformation (e.g., actions which impact credit scores by more than 15points) should be transmitted via both e-mail and SMS, but low-priorityinformation (such as credit score results that will impact the creditscore by less than 15 points) should only be sent via e-mail.

System preferences 206 h may also include approval preferences. Approvalpreferences specify whether the action evaluator component 214 shouldeven be activated and, if it is, when the credit score system 230 shouldwait for the client's approval before taking the recommended actions. Incertain situations, the client 200 may want the action evaluator 214 toimplement the recommended action without waiting for the client 200 toprovide approval. For example, the client 200 may, in the approvalpreferences, instruct the credit score system 230 to automaticallyimplement recommendations that can improve the client's credit score bymore than 20 points and will not require the client to transfer morethan $1,000 from his savings accounts towards any of his loans or linesof credit. If the credit score system 230 finds a recommendation meetingthe criteria, the credit score system will automatically implement thenecessary actions. The client 200 will be informed of the transferpursuant to the communication preferences. System preferences includethese preferences as well as any other preferences regarding thesystem's operation with respect to the client.

In addition to transmitting information about credit score results, theresults evaluator component 212 may also transmit other information orprovide the client 200 with access to other information about creditscore results. This information may include expert opinion or statisticsabout what other clients have chosen to do in the same or similarhypothetical situations, with such information being stored in datawarehouse component 202 or accessible by credit score system 230 viaconnection through available external databases. Providing thisinformation may assist the client 200 in coming to a decision aboutwhich recommendation to implement, if any.

Both the results evaluator component 212 and the action evaluatorcomponent 214 may record information back into the data warehouse 202 sothat the data warehouse 202 will always have the most up-to-dateinformation about options evaluated for the client 200, provided to theclient 200, and about actions the client 200 has taken. This informationmay include the client's credit score results and recommendations, theclient's decisions as to which recommendations to implement, the outcomeof any actions implemented on behalf of the client 200, and whether theclient 200 failed to complete any part of the process. The informationmay be any information obtained through the operation of the creditscore system 230. In addition, such information may be used to furthergenerate a pattern of behavior or desires of the client 200, and be anindicator of potential future desired actions by the client 200.

The embodiment shown in FIG. 2 is one exemplary embodiment of thepresent invention. Other embodiments may be used without departing fromthe scope of the present invention. One or more of the components shownin FIG. 2 could comprise sub-components of a larger component. Forexample, the client data collection component 206 and the scenariogenerator component 208 could be sub-components of the data warehouse202. Similarly, the components shown in FIG. 1 could comprise multiplesub-components. Thus, the scenario generator component 208 may comprisea sub-component for communicating with the data warehouse component 202and another component to communicate with the credit score algorithmcomponents 204 a and 204 b. Any arrangement of components is possiblewithout departing from the scope of the present invention as long as thetheme and objective of the present invention is met.

FIG. 2 shows a logical arrangement of components according to thepresent invention. Any physical arrangement of the components may beused without departing from the scope of the present invention.Generally, the components may be arranged in any fashion depending onthe needs of the entity using the present invention. For example, all ofthe components in system 230 may be located on a single server.Alternatively, the data warehouse component 202, the scenario generatorcomponent 208, and the client data collection component 206 may belocated on one server. The results evaluator component 212 may belocated on another server and the action evaluator component 214 on athird server. The components would communicate with each other through anetwork. In another arrangement, the components are replicated acrossmultiple servers in a network to reduce the load on the individualservers. Other configurations are also possible and within the scope ofthe present invention.

FIGS. 3, 4, and 5 show an exemplary method of performing the presentinvention. The method may begin in any number of ways. FIG. 3 showsseveral possible starting points. In option 354 a, the client 200 signsup for the Credit Monitoring & Optimization Service. The client couldsign up directly through a website or mobile application, or in a numberof other ways. For example, the present invention could be offered by afinancial advisor as a way to further help her customers. The clientcould sign up for the service, or the financial advisor could sign upthe client for the service with the client's permission. The servicecould also be offered by a third party. The client learns about theservice and visits the third party's web site or mobile application andsigns up via the web site. In option 354 b, the client interacts with ageneric credit report system in order to get access to his credit scoreand/or credit report and while that is occurring, embodiments of thepresent invention operate in the background as an added benefit to theclients. This generic credit report system can be a completely separatesystem that is operated by the same company which operates systemsand/or methods according to the present invention or it can be aseparate generic credit report system operated by a third party company(e.g., Experian, Equifax, TransUnion) or it can even be within a largergeneric credit report system that includes the present credit scoresystem 230 within it. Stated differently, the client can be using ageneric credit report system that has nothing to do with the function ofthe present invention, but which generic credit report system somehow isconnected to the present invention. In option 354 c, the client can beinteracting with a generic system that is unrelated to the presentinvention but for whatever reason has access to the data that the creditscore system 230 requires to operate and therefore, the operator of thatunrelated system would like to offer the present invention as an addedbenefit to its clients. For example, the client could be logged-in tohis credit card company's website and the credit card company, using thecredit score system 230, determines that the client could increase hiscredit score by opening an additional credit card. At that point, thecredit card company communicates to the client the recommendation toopen an additional credit card in order to improve his credit score. Inthis scenario, the present invention 230 serves as a back officerecommendation provider to the user, without the user having to sign-upto use the credit score system 230. In another example, the client islogged-in to a website that is assisting the client with his budget.Assuming that this website has access to the data that is needed by thecredit score system 230, the budget-assistance website, by utilizing thecredit score system 230, determines that the client could increase hiscredit score by using $2,000 from his savings account to pay down one ofhis credit cards. At that point the budget website presents thisrecommendation to the client.

One or more steps of the method shown in FIGS. 3, 4, and 5 may beperformed in real time. For example, the client may be interacting withanother system or service (unrelated to the present credit monitoringand optimizing system), as shown in step 354 c. While the client isinteracting with the unrelated system, the other method steps areperformed and the client is presented with results right away.

Alternatively, one or more steps of the method may be performedseparately in time from one another. For example, the client may havesigned-up for the unrelated system or service shown in step 354 cseveral months prior to interacting with the credit score system 230.Similarly, several of the method steps may be repeated over the courseof time, as shown by the fact that the system in FIGS. 3, 4, and 5 is aclosed loop system that runs on a continuous basis.

The system then collects client information in step 356. The system cancollect client information/data using multiple techniques, such ascollecting information from the client directly, collecting informationfrom third party data sources 355, or having a third party input clientinformation on behalf of the client. The client information is validatedin step 357 to make sure that the client has entered all the necessaryinformation correctly. Once validated, the client information is storedin a data warehouse (step 358).

The exemplary method continues in FIG. 4 with step 359, in which thedata controller 207 determines whether to instruct the scenariogenerator component 208 to operate. The method ensures that the datacontroller 207 continuously evaluates whether there have been anychanges to the client data that will warrant the scenario generator 208to operate, or whether the scenario generator 208 should operate basedon the client's preferences, or whether the client has submitted anycustom scenarios that require evaluation. If not, it repeats steps356-359. Repeating steps 356-359 also ensures that the client datastored in the data warehouse is continually kept up to date. The clientdata can be updated in a number of ways. The client could log in to thesystem and provide updated information. The system could pull updatedinformation from a client's account with a financial institution or fromthe client's credit report. The system could update the informationreceived from a third party. If the system obtains a credit report, thiswould show up in the credit report as a “monitoring or soft inquiry”. Inthis fashion the client's credit is not damaged through repeated “creditinquiries”. If the data controller instructs the scenario generator tooperate, the method proceeds to step 360; otherwise, the method proceedsto step 356.

In step 360, the scenario generator component 208 evaluates all the datastored in the data warehouse in order to generate hypothetical scenariosthat are relevant to both the client's financial situation and needs.The scenario generator will use a number of criteria in generating thesehypothetical scenarios including the client's behavior, feasible optionsbased on the client's financial situation and needs and all thedifferent permutations of these options, a standard set of rules/optionsbased on the client's preferences and all the different permutations ofthese options, and other mathematical models or decision trees. Thescenario generator component can use any of these criteria as well asother criteria for generating hypothetical scenarios.

Once the scenario generator component has completed generating all thehypothetical scenarios, then the hypothetical scenarios, together withthe client's custom scenarios and the client's latest data, are alltransmitted in step 361 to the credit score algorithm components. Duringstep 361, the credit score algorithm components also determine thecredit score results for each of the scenarios that they received. Thecredit score algorithm components will then transmit the credit scoreresults in step 362 to the results evaluator component 212 where theresults will be evaluated and the next steps will be determined.

In step 362, the results evaluator component 212 evaluates the variouscredit score results based on a number of criteria, such as the client'sneeds, the simplicity of actions associated with each particularscenario, the number of actions required to implement each particularscenario, the credit score impact in terms of number of points, theclient's likelihood of acting on the recommended scenario, and theexpected savings that the client will realize by acting on the scenario.The results evaluator component 212 can use any of these criteria, aswell as other criteria, for evaluating credit score results anddetermining what to recommend to the client. The results evaluator 212may not evaluate the client's custom scenarios since the client mighthave requested to be notified of the results regardless of what theresults evaluator 212 might recommend.

After evaluating the credit score results and identifying which creditscore results to recommend, the results evaluator component 212, in step363, decides, based on the client's preferences, which credit scoreresults (if any) should be communicated directly to the client and whichcredit score results (if any) should be communicated to the actionevaluator component 214. The client can specify if the client wants thesystem to implement certain recommendations on the client's behalf,subject to a set of constraints, or to never implement anything on theclient's behalf. The client can also specify how the system shouldtransmit the information (using phone, e-mail, etc.), when the systemshould transmit the information (including whether or not the systemshould transmit the information at all), and whether, based on priority,the system should transmit the information in a different manner (e.g.,send mobile phone text message instead of e-mail). If the client haschosen to never allow the system to implement any recommendations on theclient's behalf, then the method continues on step 364. Otherwise, thesystem transmits the information about the recommended credit scoreresults to the action evaluator in step 366, shown in FIG. 5.

In step 364 the system transmits any relevant information to the clientbased on the client's preferences. For example, it may transmitinformation about the recommended actions, the credit score results, thehypothetical scenarios evaluated, whether any actions were implementedon behalf of the client or anything else that might require the client'sapproval or might be of interest to the client.

The method continues with step 365, in which any information from theprevious activities is recorded in the data warehouse 202. Thisinformation can be any information about the transaction, such as thecredit score results presented to the client, any actions or informationor custom scenarios presented by the client, which recommendations (ifany) the client approved, the outcome of any automated actions, andwhether or not the client abandoned the process at any point. If, forexample, the client receives a recommendation that will prevent damageto the client's credit score, the recommendation may be recorded in thedata warehouse as part of the client's history. The process thenproceeds to step 356, where it begins again.

As shown by FIG. 5, in step 366 the recommended credit score results areevaluated for their feasibility as it relates to having the system 230take an action on behalf of the client. The feasibility is determinedbased on both the client's preferences and the system's ability toimplement the recommended actions (for example, whether the system hasthe appropriate capabilities and whether the system has or can obtainthe appropriate authorization and access). The method continues withdecision step 367 where it is determined whether an action on behalf ofthe client should be taken. The decision is made based on both thefeasibility results from step 366 and the client's approval. The clientmay specify whether the approval in step 367 should be performedmanually by the client or by the system based on the client's criteriaand appropriate authorizations. Exemplary criteria might be to onlyautomatically approve recommendations which would result in asignificant credit score increase (such as 20 points) or significantannual savings (such as $1000). Annual savings may arise from animproved credit score, for example, by enabling the client to refinanceexisting loans at lower rates. Once a recommended action that is alsodeemed feasible is approved, whether by the client or by the system, themethod continues with step 368, in which the system either assists theclient in the implementation or fully implements, on behalf of theclient, the recommended action. If the action evaluator determines thatno action should be taken on behalf of the client 200 then the methodcontinues to step 364.

The process of implementing the recommended action, as shown by step368, may occur in a number of ways, depending on the type of action. Thesystem may employ a number of techniques to simplify the process and cutcosts. For example, if the desired action is to open a new credit cardon behalf of the client, the system might interface directly with acredit card company and submit the client's application. In anotherexample, if the desired action is to make a $2,000 payment to theclient's credit card, the system might make the payment on behalf of theclient and separately bill the client. Once the necessary actions havebeen implemented, the method continues to step 364.

As shown by FIGS. 3, 4, and 5, the method never concludes. Instead, itkeeps repeating steps 356-368. The repetition could occur based on apredetermined schedule (daily, weekly, monthly), based on clientbehavior as reflected in client data, based on changes in the creditscore algorithms, based on the request of the client, based on changesin the client's financial situation, or based on any combination ofthese or other factors. Continually querying credit score algorithmcomponents with hypothetical scenarios and up-to-date client informationpermits the system to provide the client with the best recommendationson how to best optimize his credit score, on an on-going basis, withoutthe need for client command, prompt or interaction. For example, aclient in September might have 23 months of credit history and justopened a couple of credit cards. Opening an additional credit card atthat point in time will hurt his credit score as determined by thecredit score algorithms. Two months later, in November, the client'scredit history is 25 months old and at that point in time the creditscore algorithms determine that an additional credit card will have apositive impact on the client's credit score instead of a negative one.Through repeated querying, the system will pick up on these hypotheticalscenarios and will warn the client in September not to open a new creditcard. It will also recommend to the client in November to open a newcredit card. In this fashion the client is assured of having the mostoptimized credit score at all points in time. This evaluation is merelyexemplary; the system can evaluate and create multiple scenarios usingmultiple factors in addition to the clients need's, including thefeasibility of different options, the simplicity of the recommendedoptions, the client's financial situation, and others. The factors takeninto account may vary depending on the client's unique data and needs.

In the method previously described, steps 356-368 are repeated, as shownby FIGS. 3, 4, and 5. However, any of the steps may be repeated in orderto provide the client 200 with the best available credit score results.Continually updating client information and scoring and evaluatingdifferent hypothetical scenarios permits the system to offer the clienta dynamic picture of how to best optimize his credit score. The clientno longer needs to worry that one of his actions might have unintendedconsequences on his credit score or that he might be unaware of simplesteps that would improve his credit score and, in turn, save him moneyby qualifying for lower interest rates and lower insurance premiums. Thepresent invention ensures that the client will always be on top of anoptimized credit score in a hassle free way.

The present invention also relates to an apparatus for performing theoperations herein. This apparatus is specially constructed for therequired purposes, or it comprises a general-purpose computerselectively activated or reconfigured by a computer program stored inthe computer. Such a computer program is stored in a tangible andnon-transitory computer readable storage medium, such as, but notlimited to, any type of disk including floppy disks, optical disks,CD-ROMs, and magnetic-optical disks, read-only memories (ROMs), randomaccess memories (RAMs), EPROMs, EEPROMs, magnetic or optical cards, orany type of media suitable for storing electronic instructions, and eachcoupled to a computer system bus.

The foregoing disclosure of the exemplary embodiments of the presentinvention has been presented for purposes of illustration anddescription. It is not intended to be exhaustive or to limit theinvention to the precise forms disclosed. Many variations andmodifications of the embodiments described herein will be apparent toone of ordinary skill in the art in light of the above disclosure. Thescope of the invention is to be defined only by the claims appendedhereto, and by their equivalents.

Further, in describing representative embodiments of the presentinvention, the specification may have presented the method and/orprocess of the present invention as a particular sequence of steps.However, to the extent that the method or process does not rely on theparticular order of steps set forth herein, the method or process shouldnot be limited to the particular sequence of steps described. As one ofordinary skill in the art would appreciate, other sequences of steps maybe possible. Therefore, the particular order of the steps set forth inthe specification should not be construed as limitations on the claims.In addition, the claims directed to the method and/or process of thepresent invention should not be limited to the performance of theirsteps in the order written, and one skilled in the art can readilyappreciate that the sequences may be varied and still remain within thespirit and scope of the present invention.

What is claimed is:
 1. A system comprising: a server; and a memory incommunication the server, the memory storing a logic that is executed bythe server to perform operations comprising: continuously monitoring afinancial information about a client, the financial information beingupdated in real-time from a plurality of sources; and upon detecting oneor more events in the financial information, simulating an action thathas not been performed by the client; wherein a simulated performance ofthe action creates a hypothetical scenario; and wherein a potentialcredit score is generated for the hypothetical scenario.
 2. The systemof claim 1, wherein the event comprises a pattern of behavior.
 3. Thesystem of claim 2, wherein the pattern of behavior comprises performinga plurality of transactions.
 4. The system of claim 2, wherein thepattern of behavior comprises maintaining a balance above or below athreshold.
 5. The system of claim 2, wherein the pattern of behavior isa rate of change of a balance.
 6. The system of claim 1, wherein theevent comprises making a transaction.
 7. The system of claim 1, whereinthe event comprises opening an account.
 8. The system of claim 1,wherein the action comprises one or more of transferring a balance,making a withdrawal, making a deposit, or making a payment.
 9. A system,comprising: a server; and a plurality of processing modules incommunication with the server, the plurality of processing modules forexecuting computer-readable instructions that enable the plurality ofprocessing modules to perform operations comprising: generating aplurality of potential credit scores for a plurality of hypotheticalscenarios, each of the plurality of hypothetical scenarios comprising asimulated action performed in response to detecting an event in aninformation associated with a client, the information updatedcontinuously and in real-time from a plurality of sources; anddetermining an optimal action from the plurality of hypotheticalscenarios to be performed on behalf of the client, the determining basedupon a plurality of factors.
 10. The system of claim 9, wherein theplurality of factors comprises one or more of: a preference of theclient, a permission received from the client, an ability to implementeach of the simulated actions, a simplicity of action, a number of stepsin the action, the potential credit score corresponding to the simulatedaction, a likelihood of the client acting on the action, and an expectedsavings.
 11. The system of claim 9, wherein the operations furthercomprise notifying the client that the optimal action is beingperformed.
 12. The system of claim 10, wherein the preference comprisesa selection of simulated actions to be automatically performed, or aselection of simulated actions to be manually performed.
 13. A system,comprising: a server; and a plurality of processing modules incommunication with the server, the plurality of processing modules forexecuting computer-readable instructions that enable the plurality ofprocessing modules to perform operations comprising: automaticallyperforming a financial action for a client in response to determiningthat the financial action results in an optimal credit score for theclient, wherein the financial action is associated with a hypotheticalscenario, and wherein the financial action has not yet been performed bythe client.
 14. The system of claim 13, wherein the hypotheticalscenario is generated in response to detecting a change in one of afinancial information or a personal information, the financial andpersonal information being updated continuously and in real-time from aplurality of sources.
 15. The system of claim 14, wherein the financialinformation comprises one or more of: an account information associatedwith the client, a credit information associated with the client, or afinancial product information associated with a financial institution,and wherein the personal information comprises one or more of a name, anaddress, a social security number, or a telephone number.
 16. The systemof claim 14, wherein the plurality of sources comprises one or more of aclient interface for receiving client-input information, a financialinstitution, a credit bureau, a public record, or a third party source.17. The system of claim 13, wherein the financial action is performed byinteracting with a financial institution.
 18. The system of claim 13,wherein if the financial action comprises a transfer of funds, theclient is billed after the optimal action is performed.
 19. The systemof claim 13, wherein the financial action is one among a plurality ofpotential actions associated with a corresponding plurality ofhypothetical scenarios, the financial action being selected from theplurality of potential actions based upon a plurality of factors. 20.The system of claim 19, wherein the plurality of factors comprises oneor more of a preference of the client, a permission received from theclient, an ability to implement each of the plurality of potentialactions, a simplicity of action, a number of steps in the potentialaction, a potential credit score corresponding to each of the pluralityof potential actions, a likelihood of the client acting on the action,and an expected saving.